Use of Internal Capability in International Oil Contracts, A Comparative Approach to the Iraqi Service Contracts, Iran's IPC Model and the Norwegian Concession Contracts

The use of domestic technical and service capacity in the oil and gas industry is essential and is one of the indicators of economic development. Countries seek to support domestic capacity and promote it through the establishment of laws and regulations as well as the inclusion of binding conditions in contracts. In our country, this matter is doubly important because, on the one hand, it seeks to reduce the effect of all-round Western sanctions and reduce dependence on other countries, and on the other hand, in recent decades, the income from oil and gas resources is the main source of the country's foreign exchange income. In this research, the basic question is: What is Iran's legislative and contractual approach to the principle of using local content compared to successful and leading countries in this field, and which countries have a successful model in this field, and by collecting materials using a library method and using analytical and descriptive research method, in the beginning, this hypothesis was proposed that the country of Iran sought to reduce its dependence on foreign content, but due to sanctions and lack of capital and manpower, it had weaknesses in this field. At the end, the answer to the research question has been given that Iran's legislator, realizing the importance of this issue, has passed laws related to the promotion of local content in different time frames, but still the oil industry is facing weaknesses in this field and the hypothesis proposed at the beginning of the research was correct to some extent, but the implementation of the laws has faced weaknesses due to the existence of various sanctions, and it was concluded that in the new contractual model of Iran, compared to the previous models, all the weaknesses of other contractual models have not been covered in general. In the contracts and technical features similar to conventional fields and contracts in Norway, due to successful modeling in this field, it can be a good example for negotiators and designers of Iranian oil contracts.